Province to hold line on infrastructure budget

The Manitoba government will spend a little less on infrastructure in 2018 and review how it completes construction projects.

Infrastructure Minister Ron Schuler said the province will spend about $500 million on construction, maintenance and preservation projects in 2018/19. Schuler said that’s down from an initial budget of about $502 million last year for such projects, and the $520 million the province actually spent last year.

“Although less than last year’s commitment, we believe this is a robust investment by Manitoba in infrastructure,” said Schuler.

The minister noted next year’s full infrastructure budget, which also includes ongoing projects, wages and other costs, would still exceed $1 billion.

The Lake St. Martin flood outlet is one key new construction project, which is expected to cost $500 million over the next five years. The province expects federal funding to eventually cover about $247.5 million of that tab, pending final approval.

But next year’s tendering list primarily contains orders for materials and work to maintain existing roads and complete ongoing projects.

“There’s no major (new highway) projects because right now we have some major projects that we have to complete,” said Schuler.

Ongoing projects include the second phase of the road to connect Shoal Lake 40 with the mainland. The province is also seeking design studies for the South Perimeter Highway and a proposed St. Norbert bypass.

Schuler also announced the province will complete an infrastructure review that will consider different service delivery models. But while public-private partnerships are “absolutely” up for discussion, the province has ruled out adding toll roads, the minister said.

“The toll road thing is a non-starter. We don’t have the population base,” said Schuler.

“For them to cut infrastructure, it’s going to mean that there’s less people working in the construction industry next year,” said Kinew. “This is part and parcel with a premier who’s obsessed with making cuts in a short-sighted way without thinking of the long-term impact.”

But a construction industry leader said the focus on sustainable funding bodes well to help the province strategically chip away at its infrastructure deficit.

“We’re optimistic that over the next couple of years that the budgets will actually become stronger,” said Chris Lorenc, president of the Manitoba Heavy Construction Association.

“We want them to invest the taxes that they do collect … to the best possible advantage,” added Lorenc.

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